What does Preamble of DLARA do?

This bill aims to improve accountability within the Small Business Administration's disaster loan program. The bill's stated purpose includes 'other purposes' beyond improving accountability.

What does SHORT TITLE. of DLARA do?

This bill is formally titled the Disaster Loan Accountability and Reform Act.

What does DEFINITIONS. of DLARA do?

This section defines terms used within the Act. The terms 'Administration' and 'Administrator' refer to the Small Business Administration and its Administrator, respectively. “Appropriate committees of Congress” are defined as specific committees in both the Senate and the House of Representatives. An 'SBA disaster loan' is defined as a direct loan authorized by section 7(b) of the Small Business Act, excluding loans authorized under section 1110 of the CARES Act.

What does MONTHLY DISASTER LOAN REPORTS. of DLARA do?

This section amends Section 12091(a) of the Small Business Disaster Response and Loan Improvements Act of 2008. Paragraph (1) of Section 12091(a) is modified by removing phrases related to major disasters. Subparagraph (E) of paragraph (2) is revised to report on the dates when available loan funding reaches 10% of the most recent appropriation and when funds are depleted. Subparagraph (H) of paragraph (2) removes the conjunction 'and'. Subparagraph (I) of paragraph (2) replaces the period with a semicolon. A new subparagraph (J) is added to paragraph (2) requiring a summary of changes to estimates or assumptions on obligations and expenditures. A new paragraph (3) is added prohibiting official travel for the Administrator if required reports are not submitted on time.

What does BUDGET REQUEST RELATING TO DISASTER LOANS. of DLARA do?

This section amends Section 1105 of Title 31, United States Code. It requires separate statements in budget requests regarding appropriations for SBA disaster loans and COVID-EIDL loans, including the requested amount, the 10-year average cost, and an explanation of any differences. Similar statements are required for administrative costs related to both SBA disaster loans and COVID-EIDL loans. The term 'COVID-EIDL loan' is defined as a direct loan under section 7(b) of the Small Business Act authorized under section 1110 of the CARES Act. The term 'SBA disaster loan' is defined as a direct loan authorized by section 7(b) of the Small Business Act, excluding loans authorized under section 1110 of the CARES Act.

What does LIMITATIONS ON DISASTER LOANS. of DLARA do?

This section amends Section 7(b) of the Small Business Act. It redesignates a paragraph concerning statute of limitations, previously added by the COVID-19 EIDL Fraud Statute of Limitations Act of 2022, as paragraph (18). It also redesignates a paragraph concerning disaster declarations in rural areas, previously added by the Disaster Assistance for Rural Communities Act, as paragraph (16). A new paragraph (17) is added, establishing notification requirements when funding for direct loans is low. The Administrator must notify specified congressional committees within 24 hours if the fund balance falls below 10% of the 10-year average annual cost.

What does GAO REPORT ON SBA DISASTER LOAN ACCOUNT. of DLARA do?

This section requires the Comptroller General of the United States to submit a report to the Administrator and Congress within 180 days of the Act's enactment. The report must include data on the average weekly rate of obligating unobligated funds for SBA disaster loans. The report must also detail the average amount disbursed weekly to borrowers during specific periods (October 1, 2015 – July 31, 2023, and July 31, 2023 – enactment date), categorized by loan type (home, business, economic injury). The report must further specify the average amount of fully disbursed SBA disaster loans originated during the latter period, also categorized by loan type. The Administrator is required to submit a response to the report, including an implementation plan for any recommendations, within 90 days of the report's submission.

What does GAO REPORT ON DISASTER LOAN CHANGES. of DLARA do?

This section requires a report from the Comptroller General of the United States regarding changes to the Disaster Assistance Loan Program. The report must be submitted to Congress within one year of the Act's enactment. The report will analyze the cost of increased home loan lending limits and other modifications made by specified final rules. The report will also assess the effect of these changes on the subsidy for the loans.

What does BUDGET AND FORECASTING REPORT REGARDING THE COST OF DIRECT of DLARA do?

This bill, formally titled 'To improve accountability in the disaster loan program of the Small Business Administration, and for other purposes,' requires the Administrator to submit a report to Congress within 30 days of enactment detailing corrections to improve forecasting, data quality, and budget assumptions related to Small Business Administration (SBA) disaster loans. The report must address improvements to forecasting, data quality, and budget assumptions in budget submissions concerning the cost of SBA disaster loans. Following the initial report, the Administrator must submit updates every 90 days until all corrections are implemented. These updates must detail actions taken to implement the corrections and explain how each action relates to a specific correction.

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DLARA

Last updated: 6/24/2026 · Introduced: 6/27/2025

Author: Tim Moore (R-NC)

TL;DR (AI)

This Act mandates more detailed monthly reports to Congress on the status of disaster loan funding, including when funds reach specific thresholds and summaries of estimate changes.
Budget requests for the Small Business Administration (SBA) will now include separate statements detailing appropriations and costs for both disaster loans and COVID-EIDL loans.
During periods of low disaster loan funding, the SBA Administrator must limit new loan obligations to those secured by collateral, after notifying Congress.
The Government Accountability Office (GAO) will produce reports analyzing the SBA’s disaster loan program, including data on fund obligating rates, loan disbursement amounts, and the impact of recent program modifications.
The SBA Inspector General will review a recent funding shortfall related to disaster loans, identifying reporting failures, deviations in fund usage, and recommending improvements to future budget submissions and reporting to Congress.

119th Congresspassed houseS. 300(In Committee)Official page

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Includes provisions on preamble, short title., and 7 more.

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